Is Real Estate Being Affected By Covid-19?
By Jim Palmer Jr.

I swore I wouldn’t write any article about Covid-19, because we are so inundated by that topic at the moment and honestly, I’m tired of hearing about it. But the trickle-down effect of the virus is now affecting real estate in a big way. Mortgage companies and other lenders have shut their doors, along with title companies, Realtor® Associations, and courthouses.  Everyone is scrambling to comply with state ordered mandates, though common sense might be in as short supply as toilet paper. Many real estate offices remain open (to date) but have postponed large gatherings like office meetings.  Video conferencing is replacing meetings that would otherwise have been done in person.

I’m a hands-on-person and prefer face-to-face interaction, so I’ve had to step it up a little more to put electronic media tools into action just to get things accomplished. What a blessing it is that we have such tools or we might all be totally out of business! The good news in the current state of the world is that it’s still a good time buy or sell real estate! “Of course you would say that, because you just want to make money,” I can hear the skeptics wailing! Despite the current restricted state of being, and rumors (at this writing) that the governor will soon issue a “shelter-in-place” proclamation, there are still plenty of reasons to move forward in buying or selling property.

For one thing, interest rates are at an all-time low. Lower than I have ever seen in my lifetime, and I’m not a spring rooster anymore.  Rates are hovering around 3% and in some cases lower than that depending on credit scores and length of term. That is a pretty good incentive to lock the rate on a refinance or purchase now!

Another factor for sellers is that inventories are still in crisis mode and at an all time low, which we have not seen in the Spokane region, ever.  Multiple offers abound and the feeding frenzy is real when a new listing hits the market.   

No one knows when this virus panic will subside, but brokers are taking steps to mitigate exposure by eliminating non-essential meetings, halting or curbing the practice of open houses, and using safe practices like booties and hand sanitizer at limited access showings.  Closers are working out the details so funds can be transferred safely and signatures can be obtained on closing documents remotely.